Beijing Properties' unit plans to sell properties interest to ESR Cayman

Beijing Properties (Holdings)

16/05/2018 07:11

HONG KONG, May 16 (Reuters) - Beijing Properties  0925.HK 
said on Wednesday its logistics subsidiary plans to sell its
equity interests in properties worth about 6.42 billion yuan
($1.01 billion) to an offshore fund that will be set up with
Warburg Pincus-backed ESR Cayman.
    The subsidiary, China Logistics Infrastructures, which is 65
percent owned by Beijing Properties, signed the Letter of Intent
with logistics real estate developer ESR Cayman on Wednesday. 
    The capital investment to be made by each partner to the
fund and the deal consideration have not been finalised as yet.
    "The proposed transactions represent a good opportunity for
the group to realize its investment in its logistics property
business at a fair and reasonable price," Beijing Properties
said in a statement.
    The decision comes a day after ESR Cayman, said it received
an investment worth $306 million from Chinese online retailer
JD.com Inc  JD.O . The developer said the two companies would
cooperate in areas such as property development and fund
management.  urn:newsml:reuters.com:*:nS6N1S200L

    
    ($1 = 6.3666 Chinese yuan)

 (Reporting by Clare Jim; Editing by Sherry Jacob-Phillips)
 ((clare.jim@thomsonreuters.com; +852 2912 6653; Reuters
Messaging: clare.jim.thomsonreuters.com@reuters.net))